Alaska’s minimum wage will increase to $13 per hour on July 1, the result of Ballot Measure 1, which was approved by voters in the November 2024 general election. This change marks the second shift in the state’s wage minimum this year, setting Alaska on a path toward a $15 minimum wage by 2027.
On Jan. 1, the state minimum wage rose from $11.73 to $11.91 per hour, as part of its annual inflation adjustment. But the new law passed through Ballot Measure 1 sets a fixed schedule for further increases:
- $13 per hour starting July 1, 2025
- $14 per hour starting July 1, 2026
- $15 per hour starting July 1, 2027
Beginning Jan. 1, 2028, the minimum wage will again be adjusted annually for inflation. It will not be adjusted downward during times of deflation.
Under Alaska law, the minimum wage applies to all hours worked in a pay period, regardless of how employees are paid — whether hourly, by piece rate, commission, or otherwise. Employers must ensure that total compensation for all hours worked equals at least the applicable minimum wage unless a specific legal exemption applies.
The law also affects certain salaried employees who are exempt from minimum wage and overtime requirements under Alaska Statute 23.10.055(b), such as bona fide executive, administrative, or professional employees. These workers must be paid a salary equal to at least twice the minimum wage for the first 40 hours worked per week. As a result, on July 1, the minimum weekly salary for exempt employees will increase from $952.80 to $1,040.00.
Sorry, the correct headline is every single product or service in Alaska cost more starting July 1.
Good point. – sd
Parents should start training their children – beyond what little might be derived from public education in Alaska – in a work ethic, responsibility, and a variety of chores that ‘Americans won’t do.’ I pity future graduates who will face the lack of entry level jobs, which will result from automation that is cheaper than these artificial increases in minimum wage.
Entry level jobs are not intended to provide ‘living wages.’ They’re intended to pay one as they learn how to work in the real world. So sad 😞
I don’t disagree that entry level jobs are not intended to provide a “living wage” but have to ask what jobs you consider “entry level?”
Currently, most servers and cooks in restaurants are paid minimum wage. Walmart and other store clerks as well as those who stock the shelves are paid minimum wage. People employed in childcare are paid minimum wage. Janitors, landscapers, manual laborers and a multitude of other jobs are currently paid minimum wage when in the past those jobs did in fact support a single person with livable wages.
In my opinion, those folks should earn a living wage if they work a full 40+ hour work week.
Now should the burger flipper or fry cook or cashier at McDonalds or other fast food earn more, probably not. Should the manager? Yes. There are exceptions.
Where do you draw the line?
Do you have the ability to inform others exactly what a “living wage” is? I have yet to see or hear anyone actually be able to explain it without simply saying more…and of course the cost of goods and services go up when things cost more and so the “living wage” necessarily needs to be more to keep up with the costs, ad infinitum.
My definition of a living wage is to be able to support one’s self off of a 40 hour work week.
Supporting one’s self would be having enough income to pay for housing, food/groceries, utilities, insurance and phone. Car payment & insurance for anyone in Alaska because our public transportation and pedestrian infrastructure is sorely lacking.
Maybe have a little savings in case of emergency. Not necessary, but helpful in god forbid something bad happens.
Thanks for your definition, what you’ve described is called a career not an entry level job and not a MINIMUM wage job. Do you think that an entry level job for a 16 year old should be able to provide all of the things that you describe as a “living wage”? In Alaska roughly 10,000 people make minimum wage, that is less than 3% of all of those who are employed, likely the majority are teenagers or those earning tips.
The problem with a minimum wage is that it sets a bottom, it is the least a person can be paid and it is reserved for entry level jobs, when sett8ng the minimum at such a high level it will restrict the number of entry level jobs. I’ve worked below minimum wage jobs in the past, I was also provided gratuities for my performance. I wouldn’t even bother to pick up the check from my employer on the way out the door because two weeks pay didn’t even get close to one days tips, they would tell me I had to pick up my checks and cash them. I obviously made well above minimum wage, but it was also not a career.
Do you think $13 an hour is a “living wage”, or is it $15, or is it $25? The more we ratchet up the minimum the more everything costs and the more we need to ratchet up the minimum and at some point nobody can afford to live here…but then maybe that’s the point, huh.
It is the lefties way of supporting all the imported illegal aliens with a mandatory labor rate job so they can later join a union and strike and protest for even higher wages and benefits.
Reminds me of a pyramid sham built with faulty blocks.
I find it interesting the such a red state voted for such a liberal/socialist ballot. Especially the sick paid time off section. It will crush small businesses.
Fast food was already overpriced and unaffordable, I guess now they can just start shuttering these businesses.
Also need to point out that paid time off will also apply
And the public should expect prices to increase accordingly.